Business Lawyers Blog
Numerous entrepreneurs in Texas believe they have ideas capable of evolving into billion-dollar startups. However, transforming these ideas into viable businesses involves careful planning. Several key steps must be taken before these startups can officially launch or become attractive to potential venture capital investors. This process ensures that the foundational aspects of the business are well-established and ready for growth and investment.
If you are looking to start your own business, we recommend contacting an experienced Texas startup and financing attorney. At Structure Law Group, our legal team can guide you through every stage of getting your new business off the ground. We can help you translate your long-term vision into a series of practical steps that will hopefully lead you to profitability and success.
What You Need to Do Before Opening for Business
Every startup situation is different. Still, there are some basic steps that every new Texas business needs to follow. First and foremost is developing a sound business plan. Remember, having an idea is not the same as having a plan. It would be best if you thought about how you will convince VCs and other investors to give your startup the capital it needs to get off the ground. And that means having a carefully written business plan.
Once you have that plan, you can take the next step, deciding on a legal structure for your startup. There are several options in Texas- sole proprietor, LLC, corporation, etc.- each of which has specific benefits and drawbacks. Your attorney can explain your options and help you select the right business entity to carry out your business plan.
Your business will also need a name. It is critical to not only select a name that fits your business but also does not conflict with the name of another business in the same geographic area or industry. Selecting the right name is the first step towards building your business brand.
Depending on the legal structure that you select for your startup, you may also need to file formal paperwork with the Texas Secretary of State to register your business. For example, to form a corporation, you need to file a Certificate of Formation. Your business must also create documents such as corporate bylaws or a partnership agreement. While many of these documents do not need to be filed with the state, they are still considered essential.
After creating your legal structure, your business may then need to comply with a number of additional state and local laws, such as obtaining regulatory licenses or permits and dealing with zoning rules at your proposed business location. You will also need to open a business bank account and possibly register as a separate taxable entity with the Internal Revenue Services.
Contact SLG Today
As you can see, starting a business involves keeping track of many small legal details, each of which can provide a stumbling block to your startup if you are not adequately prepared. Our Texas business startup attorneys can help ensure that you follow the rules and start off on the right foot. Contact SLG today at 512-881-7500 to schedule a consultation.